SHIB Sees Dramatic 79% Decline in Whale Moves Despite Year's 65% Gains
The meme coin market has undergone significant changes over the past year. Prominent tokens such as Dogecoin (DOGE) and Shiba Inu (SHIB) have maintained their visibility, with SHIB notably appreciating by around 65% in value over the last year. However, recent market volatility has impacted large-cap meme tokens, including Shiba Inu, leading to pronounced corrections and stagnant lateral movements in the past two months. With major investors seemingly withdrawing, this downturn may extend unexpectedly.
Ali Martinez, a well-regarded crypto analyst, highlighted on the X platform that high-value Shiba Inu investors, known as whales, have shown reduced activity over the previous three months.
This observation utilizes data from Santiment’s Whale Transaction Count metric, which tracks SHIB transactions exceeding $1 million. Whales, major holders of a crypto asset like Shiba Inu, are pivotal to the market. Their trades often significantly influence SHIB's price, inducing speculation and market variations.
Martinez notes a 79% reduction in whale activity on the Shiba Inu network, indicating a potential shift in investor sentiment. Such a decline often signals waning confidence or interest among major holders as they explore other assets.
This trend correlates with the recent Shiba Inu price dynamics, where diminished large whale transactions often align with value drops and stagnant market movement. For Shiba Inu to rebound from its current slump, reinvigorated whale participation on the network is crucial.
Currently, the SHIB token is trading at approximately $0.0000156, marking an almost 3% increase in the last 24 hours. Despite showing some consolidation around the $0.000015 level throughout February, Shiba Inu has not fully recovered from its earlier dip to $0.000012. Data from CoinGecko reveals the second-largest meme currency is still down by over 20% over the last 30 days, and its price has decreased by nearly 50% in the past quarter.
Disclaimer: The information provided in this article is for educational purposes only and should not be considered financial or legal advice. Always conduct your own research or consult a professional when dealing with cryptocurrency assets.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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